Metair final results 31 December 2014
Revenue increased to R7.3 billion (R5.2 billion). Gross profit grew to R1.6 billion (R1 billion) and operating profit increased to R829.4 million (R445.6 million). Net attributable profit increased to R601.5 million (R341.4 million). In addition, headline earnings per share came in at 303cps (219cps).
A gross final ordinary dividend of 80cps has been declared.
The redesign of Metair will continue in the year ahead as we adjust to the challenges and opportunities that have been identified and set out in the integrated report. Acquisitions executed during the redesign process, although both aggressive and defensive in design, were always weighted on the aggressive side. Metair will continue to seek acquisitions that leverage the group's technology, expertise and balance sheet.
During 2015 and 2016 our OE customers will be undergoing a number of model changes. Although challenging in the short term, this presents an opportunity in the medium to long term. Metair is extremely pleased that we have secured our participation in these planned model changes. The nature of our OE business is that it requires higher levels of capital investment in periods of model changes combined with temporary reductions in production volumes. The opportunity lies in the successful launch of such new models, with volume growth potential depending on the market penetration of the new models.
In the year ahead, Metair will continue to unlock the synergies in our acquisitions, keep our focus on manufacturing excellence in all of our operations, grow our brands in the aftermarket and focus on selling the spare capacity in our batteries business.
Metair's performance in the year ahead is dependent upon, inter alia, the successful execution of our strategy, OE volumes, geopolitical conditions, a peaceful labour environment, continuous supply of electricity, efficiency improvements, internal inflation recoveries and the exchange rate. Subject to such factors, we expect 2015's financial performance to be satisfactory but more challenging than 2014